First Regular Session S.B. 1492
COMMITTEE ON APPROPRIATIONS
SENATE AMENDMENTS TO S.B. 1492
(Reference to printed bill)
Page 1, between lines 1 and 2, insert:
"Section 1. Section 32-1422, Arizona Revised Statutes, is amended to read:
32-1422. Basic requirements for granting a license to practice medicine
A. An applicant for a license to practice medicine in this state pursuant to this article shall meet each of the following basic requirements:
1. Graduate from an approved school of medicine or receive a medical education that the board deems to be of equivalent quality.
2. Successfully complete an approved twelve‑month hospital internship, residency or clinical fellowship program.
3. Have the physical and mental capability to safely engage in the practice of medicine.
4. Have a professional record that indicates that the applicant has not committed any act or engaged in any conduct that would constitute grounds for disciplinary action against a licensee under this chapter.
5. Not have had a license to practice medicine revoked by a medical regulatory board in another jurisdiction in the United States for an act that occurred in that jurisdiction that constitutes unprofessional conduct pursuant to this chapter.
6. Not be currently under investigation, suspension or restriction by a medical regulatory board in another jurisdiction in the United States for an act that occurred in that jurisdiction and that constitutes unprofessional conduct pursuant to this chapter. If the applicant is under investigation by a medical regulatory board in another jurisdiction, the board shall suspend the application process and may not issue or deny a license to the applicant until the investigation is resolved.
7. Not have surrendered a license to practice medicine in lieu of disciplinary action by a medical regulatory board in another jurisdiction in the United States for an act that occurred in that jurisdiction and that constitutes unprofessional conduct pursuant to this chapter.
8. Pay all fees required by the board.
9. Complete the application as required by the board.
10. Complete a training unit as prescribed by the board relating to the requirements of this chapter and board rules. The applicant shall submit proof with the application form of having completed the training unit.
11. Have submitted directly to the board, electronically or by hard copy, verification of the following:
(a) Licensure from every state in which the applicant has ever held a medical license.
(b) All hospital affiliations and employment for the five years preceding application. Each hospital must verify affiliations or employment on the hospital's official letterhead or the electronic equivalent.
B. The board may require the submission of credentials or other evidence, written and oral, and make any investigation it deems necessary to adequately inform itself with respect to an applicant's ability to meet the requirements prescribed by this section, including a requirement that the applicant for licensure undergo a physical examination, a mental evaluation and an oral competence examination and interview, or any combination thereof, as the board deems proper.
C. In determining if the requirements of subsection A, paragraph 4 of this section have been met, if the board finds that the applicant committed an act or engaged in conduct that would constitute grounds for disciplinary action, the board shall determine to its satisfaction that the conduct has been corrected, monitored and resolved. If the matter has not been resolved, the board shall determine to its satisfaction that mitigating circumstances exist that prevent its resolution.
D. In determining if the requirements of subsection A, paragraph 6 of this section have been met, if another jurisdiction has taken disciplinary action against an applicant, the board shall determine to its satisfaction that the cause for the action was corrected and the matter resolved. If the matter has not been resolved by that jurisdiction, the board shall determine to its satisfaction that mitigating circumstances exist that prevent its resolution.
E. The board may delegate authority to the executive director to deny licenses if applicants do not meet the requirements of this section.
Sec. 2. Title 32, chapter 32, article 1, Arizona Revised Statutes, is amended by adding section 32-3216, to read:
32-3216. Health care providers; charges; public availability; direct payment; notice; definitions
A. A health care provider must make available on request or online the direct pay price for at least the twenty-five most commonly provided services, if applicable, that the health care provider offers. The services may be identified by a common procedural terminology code or by a plain‑English description. The direct pay prices must be updated at least annually and must be based on the services from a twelve-month period that occurred within the eighteen-month period preceding the update. The direct pay price must be for the standard treatment provided for the service and may include the cost of treatment for complications or exceptional treatment. Health care providers who are owners or employees of a legal entity with fewer than three licensed health care providers are exempt from the requirements of this subsection.
B. Subsection A of this section does not apply to emergency services.
C. The health care services provided by health care providers in veterans administration facilities, health facilities on military bases, Indian health services hospitals and other Indian health service facilities, tribal‑owned clinics, the Arizona state hospital and any health care facility that is determined to be exempt pursuant to section 36-437, subsection D are exempt from the requirements of this section.
D. Subsection A of this section does not prevent a health care provider from offering either additional discounts or additional lawful health care services for an additional cost to a person or an employer paying directly.
E. A health care provider is not required to report the direct pay prices to a government agency or department or to a government-authorized or government‑created entity for review or filing. A government agency or department or government-authorized or government‑created entity may not approve, disapprove or limit either:
1. A health care provider's direct pay price for services.
2. A health care provider's ability to change the published or posted direct pay price for services.
F. A health care system may not punish a person or employer for paying directly for lawful health care services or a health care provider for accepting direct payment from a person or employer for lawful health care services.
G. Except as provided in subsection J of this section, a health care provider who receives direct payment from a person or employer for a lawful health care service is deemed paid in full if the entire fee for the service is paid and shall not submit a claim for payment or reimbursement for the service to any health care system. This subsection does not prevent a health care provider from pursuing a health care lien for customary charges pursuant to title 33. This subsection does not affect the ability of a health care provider to submit claims for the same service provided on other occasions to the same or a different person if direct payment does not occur. This subsection does not require a health care provider to refund or adjust any capitated payment, bundled payment or other form of prepayment or global payment made by a health care system to the health care provider for lawful health care services to be provided by the health care provider for the person who makes, or on whose behalf an employer makes, direct payment to the health care provider.
H. Before a health care provider who is contracted as a network provider for a health care system accepts direct payment from a person or an employer, and the person is an enrollee of the same health care system, the health care provider shall obtain the person's or employer's signature on a notice in a form that is substantially similar to the following:
Important notice about direct payment
for your health care services
The Arizona Constitution permits you to pay a health care provider directly for health care services. Before you make any agreement to do so, please read the following important information:
If you are an enrollee of a health care system (more commonly referred to as a health insurance plan) and your health care provider is contracted with the health insurance plan, the following apply:
1. You may not be required to pay the health care provider directly for the services covered by your plan, except for cost share amounts that you are obligated to pay under your plan, such as copayments, coinsurance and deductible amounts.
2. Your provider's agreement with the health insurance plan may prevent the health care provider from billing you for the difference between the provider's billed charges and the amount allowed by your health insurance plan for covered services.
3. If you pay directly for a health care service, your health care provider will not be responsible for submitting claim documentation to your health insurance plan for that claim. Before paying your claim, your health insurance plan may require you to provide information and submit documentation necessary to determine whether the services are covered under your plan.
4. If you do not pay directly for a health care service, your health care provider may be responsible for submitting claim documentation to your health insurance plan for the health care service.
Your signature below acknowledges that you received this notice before paying directly for a health care service.
I. A health care provider who receives direct payment for a lawful health care service and who complies with subsection H of this section is not responsible for submitting documentation of any kind for purposes of reimbursement to any health care system for that claim if the failure to submit such documentation does not conflict with the terms of any federal or state contracts to which the health care system is a party and the health care provider has agreed to serve patients under or with applicable state or federal programs in which a health care provider and health care system participate.
J. This section does not impair the provisions of a health care system's private health care network provider contract, except that a health care provider may accept direct payment from a person or employer or may decline to bill the health care system directly for services paid directly by a person or employer if the health care provider has complied with subsection H of this section and the health care provider's receipt of direct payment and the declination to bill the health care system do not conflict with the terms of any federal or state contract to which the health care system is a party and the health care provider has agreed to serve patients under or with applicable state or federal programs in which both a health care provider and health care system participate.
K. A health care provider who does not comply with the requirements of this section commits unprofessional conduct. Any disciplinary action taken by the health care provider's licensing board may not include revocation of the health care provider's license.
L. For the purposes of this section:
1. "Direct pay price" means the price that will be charged by a health care provider for a lawful health care service, regardless of the person's health insurance status, if the entire fee for the service is paid in full directly to the health care provider by the person, including the person's health savings account, or by the person's employer and that does not prohibit a provider from establishing a payment plan with the person paying directly for services.
2. "Emergency services" means lawful health care services needed to evaluate and stabilize an emergency medical condition as defined in 42 United States Code section 1396u-2(b)(2)(C).
3. "Enrollee" means a person who is enrolled in a health care plan provided by a health care insurer.
4. "Health care insurer" means a disability insurer, group disability insurer, blanket disability insurer, health care services organization, hospital service corporation, medical service corporation or hospital and medical service corporation as prescribed in title 20.
5. "Health care plan" means a policy, contract or evidence of coverage issued to an enrollee. Health care plan does not include limited benefit coverage as defined in section 20-1137.
6. "Health care provider" means a person who is licensed pursuant to chapter 7, 8, 13, 16, 17, 19 or 34 of this title.
7. "Health care system" or "health insurance plan" means a public or private entity whose function or purpose is the management, processing or enrollment of individuals or the payment, in full or in part, of health care services.
8. "Lawful health care services" means any health‑related service or treatment, to the extent that the service or treatment is permitted or not prohibited by law or regulation, that may be provided by persons or businesses otherwise permitted to offer the services or treatments.
9. "Punish" means to impose any penalty, surcharge or named fee with a similar effect that is used to discourage the exercise of rights under this section.
Sec. 3. Title 36, chapter 4, article 3, Arizona Revised Statutes, is amended by adding section 36-437, to read:
36-437. Health care facilities; charges; public availability; direct payment; notice; definitions
A. A health care facility with more than fifty inpatient beds must make available on request or online the direct pay price for at least the fifty most used diagnosis-related group codes, if applicable, for the facility and at least the fifty most used outpatient service codes, if applicable, for the facility. The services may be identified by a common procedural terminology code or by a plain-English description. The health care facility must update the direct pay prices at least annually based on the services from a twelve-month period that occurred within the eighteen‑month period preceding the update. The direct pay price must be for the standard treatment provided for the service and may include the cost of treatment for complications or exceptional treatment.
B. A health care facility with fifty or fewer inpatient beds must make available on request or online the direct pay price for at least the thirty‑five most used diagnosis-related group codes, if applicable, for the facility and at least the thirty‑five most used outpatient service codes, if applicable, for the facility. The services may be identified by a common procedural terminology code or by a plain-English description. The health care facility must update the direct pay prices at least annually based on the services from a twelve-month period that occurred within the eighteen‑month period preceding the update. The direct pay price must be for the standard treatment provided for the service and may include the cost of treatment for complications or exceptional treatment.
C. Subsections A and B of this section do not apply if a discussion of the direct pay price would be a violation of the federal emergency medical treatment and labor act.
D. veterans administration facilities, health facilities on military bases, Indian health services hospitals and other Indian health services facilities, tribal‑owned clinics and the Arizona state hospital are exempt from the requirements of this section. if the director of the department of health services determines that a health care facility does not serve the general public, the health care facility is exempt from the requirements of this section.
E. Subsections A and B of this section do not prevent a health care facility from offering either additional discounts or additional lawful health care services for an additional cost to a person or an employer paying directly.
F. A health care facility is not required to report the direct pay prices to a government agency or department or to a government-authorized or government‑created entity for review. A government agency or department or government-authorized or government‑created entity may not approve, disapprove or limit either:
1. A health care facility's direct pay price for services.
2. A health care facility's ability to change the published or posted direct pay price for services.
G. A health care system may not punish a person or employer for paying directly for lawful health care services or a health care facility for accepting direct payment from a person or employer for lawful health care services.
H. Except as provided in subsection K of this section, a health care facility that receives direct payment from a person or employer for a lawful health care service is deemed paid in full if the entire fee for the service is paid and shall not submit a claim for payment or reimbursement for the service to any health care system. This subsection does not prevent a health care facility from pursuing a health care lien for customary charges pursuant to title 33. This subsection does not affect the ability of a health care facility to submit claims for the same service provided on other occasions to the same or a different person if direct payment does not occur. This subsection does not require a health care facility to refund or adjust any capitated payment, bundled payment or other form of prepayment or global payment made by a health care system to the health care facility for lawful health care services to be provided by the health care facility for the person who makes, or on whose behalf an employer makes, direct payment to the health care facility.
I. Before a health care facility that is contracted as a network provider for a health care system accepts direct payment from a person or an employer, and the person is an enrollee of the same health care system, the health care facility shall obtain the person's or employer's signature on a notice in a form that is substantially similar to the following:
Important notice about direct payment
for your health care services
The Arizona Constitution permits you to pay a health care facility directly for health care services. Before you make any agreement to do so, please read the following important information:
If you are an enrollee of a health care system (more commonly referred to as a health insurance plan) and your health care facility is contracted with the health insurance plan, the following apply:
1. You may not be required to pay the health care facility directly for the services covered by your plan, except for cost share amounts that you are obligated to pay under your plan, such as copayments, coinsurance and deductible amounts.
2. Your health care facility's agreement with the health insurance plan may prevent the facility from billing you for the difference between the facility's billed charges and the amount allowed by your health insurance plan for covered services.
3. If you pay directly for a health care service, your health care facility will not be responsible for submitting claim documentation to your health insurance plan for that claim. Before paying your claim, your health insurance plan may require you to provide information and submit documentation necessary to determine whether the services are covered under your plan.
4. If you do not pay directly for a health care service, your health care facility may be responsible for submitting claim documentation to your health insurance plan for the health care service.
Your signature below acknowledges that you received this notice before paying directly for a health care service.
J. A health care facility that receives direct payment for a lawful health care service and that complies with subsection I of this section is not responsible for submitting documentation of any kind for purposes of reimbursement to any health care system for that claim if the failure to submit such documentation does not conflict with the terms of any federal or state contracts to which the health care system is a party and the health care facility has agreed to serve patients under or with applicable state or federal programs in which a health care facility and health care system participate.
K. This section does not impair the provisions of a health care system's private health care network provider contract, except that a health care facility may accept direct payment from a person or employer or may decline to bill the health care system directly for services paid directly by a person or employer if the health care facility has complied with subsection I of this section and the health care facility's receipt of direct payment and the declination to bill the health care system do not conflict with the terms of any federal or state contract to which the health care system is a party and the health care facility has agreed to serve patients under or with applicable state or federal programs in which a health care facility and health care system participate.
L. This section does not prevent the department of health services from performing an investigation of a health care facility under the department's powers and duties as prescribed in this title. If a health care facility fails to comply with this section, the penalty shall not include the revocation of the license to deliver health care services.
M. For the purposes of this section:
1. "Direct pay price" means the entire price that will be charged by a health care facility for a lawful health care service, regardless of the person's health insurance status, if the entire fee for the service is paid in full directly to the health care facility by the person, including the person's health savings account, or by the person's employer and that does not prohibit a facility from establishing a payment plan with the person paying directly for services.
2. "Enrollee" means a person who is enrolled in a health care plan provided by a health care insurer.
3. "Health care facility" means a hospital, outpatient surgical center, health care laboratory, diagnostic imaging center or urgent care center.
4. "Health care insurer" means a disability insurer, group disability insurer, blanket disability insurer, health care services organization, hospital service corporation, medical service corporation or hospital and medical service corporation as prescribed in title 20.
5. "Health care plan" means a policy, contract or evidence of coverage issued to an enrollee. Health care plan does not include limited benefit coverage as defined in section 20-1137.
6. "Health care system" or "health insurance plan" means a public or private entity whose function or purpose is the management, processing or enrollment of individuals or the payment, in full or in part, of health care services.
7. "Lawful health care services" means any health‑related service or treatment, to the extent that the service or treatment is permitted or not prohibited by law or regulation, that may be provided by persons or businesses otherwise permitted to offer the services or treatments.
8. "Punish" means to impose any penalty, surcharge or named fee with a similar effect that is used to discourage the exercise of rights under this section."
Renumber to conform
Page 13, strike lines 41 and 42, insert:
"(f) Nonexperimental transplants do not include the following:
(i) pancreas only transplants."
Reletter to conform
Page 27, after line 9, insert:
"Sec. 30. Severability
If any provision or clause of sections 32‑3216 and 36‑437, Arizona Revised Statutes, as added by this act, or the application of these sections to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of sections 32‑3216 and 36‑437, Arizona Revised Statutes, as added by this act, that can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.
Sec. 31. Delayed effective date
Sections 32‑3216 and 36‑437, Arizona Revised Statutes, as added by this act, are effective from and after December 31, 2013.
Sec. 32. Delayed repeal
Sections 32‑3216 and 36‑437, Arizona Revised Statutes, as added by this act, are repealed from and after December 31, 2021."
Amend title to conform
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